**UNITED      STATES**

**SECURITIES      AND EXCHANGE COMMISSION**

**FORM      10-Q**

**WGNB      CORP.**

|  Georgia                                   |   |  58-1640130                                                       |
|-------------------------------------------------|--------|------------------------------------------------------------------------|
|  (State                  of Incorporation) |   | (I.R.S.                  Employer Identification                  No.) |

----

----

| Large                Accelerated filer o | Accelerated                filer o | Non-accelerated                filer x |
|------------------------------------------|------------------------------------|----------------------------------------|

|  Class                                                       |   |  Outstanding                at November 10,                2006 |
|-------------------------------------------------------------------|--------|----------------------------------------------------------------------|
|  Common                Stock, $1.25 par                value |   |  3,333,797                                                      |

----

**WGNB      CORP.**

**INDEX      TO FORM 10-Q**

| **Item                Number****in                Form 10-Q** |   |  **Description**                                                                                                                                            |   | **Page**               |
|---------------------------------------------------------------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------|
| **Part                One**                                   |   | **Financial                Information**                                                                                                                         |   |                   |
| Item                1.                                        |   | Financial                Statements                                                                                                                              |   | 1                      |
|                                                          |   |                                                                                                                                                             |   |                   |
|                                                          |   | Consolidated                Balance Sheets at September 30, 2006 and December 31, 2005                                                                           |   | 2                      |
|                                                          |   |                                                                                                                                                             |   |                   |
|                                                          |   | Consolidated                Statements of Earnings for the Three Months Ended September 30, 2006                and                September 30, 2005            |   | 3                      |
|                                                          |   |                                                                                                                                                             |   |                   |
|                                                          |   | Consolidated                Statements of Comprehensive Income for the Three Months Ended September                30, 2006 and September 30, 2005               |   | 4                      |
|                                                          |   |                                                                                                                                                             |   |                   |
|                                                          |   | Consolidated                Statements of Earnings for the Nine Months Ended September 30, 2006                and                September 30, 2005             |   | 5                      |
|                                                          |   |                                                                                                                                                             |   |                   |
|                                                          |   | Consolidated                Statements of Comprehensive Income for the Nine Months Ended September                30,                2006 and September 30, 2005 |   | 6                      |
|                                                          |   |                                                                                                                                                             |   |                   |
|                                                          |   | Consolidated                  Statements of Cash Flows for the Nine Months Ended September                30, 2006 and September 30, 2005                        |   | 7                      |
|                                                          |   |                                                                                                                                                             |   |                   |
|                                                          |   | Notes                to Consolidated Financial Statements                                                                                                        |   | 9                      |
|                                                          |   |                                                                                                                                                             |   |                   |
| Item                2.                                        |   | Management’s                Discussion and Analysis of Financial Condition and Results                  of Operations                                      |   |                13 |
|                                                          |   |                                                                                                                                                             |   |                   |
| Item                3.                                        |   | Quantitative                and Qualitative Disclosures About Market Risk                                                                                        |   | 20                     |
|                                                          |   |                                                                                                                                                             |   |                   |
| Item                4.                                        |   | Controls                and Procedures                                                                                                                           |   | 20                     |
|                                                          |   |                                                                                                                                                             |   |                   |
| **Part                Two**                                   |   | **Other                Information**                                                                                                                             |   |                   |
| Item                1.                                        |   | Legal                Proceedings                                                                                                                                 |   | 21                     |
|                                                          |   |                                                                                                                                                             |   |                   |
| Item                1A.                                       |   | Risk                Factorss                                                                                                                                     |   | 21                     |
|                                                          |   |                                                                                                                                                             |   |                   |
| Item                2.                                        |   | Unregistered                Sales of Equity Securities and Use of Proceeds                                                                                       |   | 21                     |
|                                                          |   |                                                                                                                                                             |   |                   |
| Item                3.                                        |   | Defaults                Upon Senior Securities                                                                                                                   |   | 21                     |
|                                                          |   |                                                                                                                                                             |   |                   |
| Item                4.                                        |   | Submission                of Matters to a Vote of Security Holders                                                                                               |   | 21                     |
|                                                          |   |                                                                                                                                                             |   |                   |
| Item                5.                                        |   | Other                Information                                                                                                                                 |   | 21                     |
|                                                          |   |                                                                                                                                                             |   |                   |
| Item                6.                                        |   | Exhibits                                                                                                                                                         |   | 21                     |
|                                                          |   |                                                                                                                                                             |   |                   |
|                                                          |   | Signatures                                                                                                                                                       |   | 23                     |

----

**Part      I - Financial Information**

**Item      1.**
**Financial      Statements**

----

**WGNB      CORP.**

**Consolidated      Balance Sheets**

**As      of September 30, 2006 and December 31, 2005**

|                                                                                                                                         |   |   | September              30, 2006(unaudited) |   |   | December                31, 2005(audited) |   |
|---------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|--------------------------------------------|--------|--------|-------------------------------------------|--------|
| Assets                                                                                                                                            |   |   |                                       |   |   |                                      |   |
| Cash                and due from banks                                                                                                            |   | $      | 14,328,590                                 |   |   | 10,673,541                                |   |
| Federal                funds sold                                                                                                                 |   |   | 20,561,798                                 |   |   | 5,548,348                                 |   |
|                                                                                                                                              |   |   |                                       |   |   |                                      |   |
| Cash                and cash equivalents                                                                                                          |   |   | 34,890,388                                 |   |   | 16,221,889                                |   |
|                                                                                                                                              |   |   |                                       |   |   |                                      |   |
| Securities                available for sale                                                                                                      |   |   | 53,861,509                                 |   |   | 64,359,833                                |   |
| Securities                held to maturity, estimated fair valuesof                $7,984,756 and $6,839,552                                      |   |   | 7,978,356                                  |   |   | 6,736,552                                 |   |
| Loans,                net                                                                                                                         |   |   | 442,163,142                                |   |   | 417,551,614                               |   |
| Premises                and equipment, net                                                                                                        |   |   | 9,119,489                                  |   |   | 9,134,245                                 |   |
| Accrued                interest receivable                                                                                                        |   |   | 3,451,679                                  |   |   | 2,881,206                                 |   |
| Other                assets                                                                                                                       |   |   | 8,074,388                                  |   |   | 6,758,048                                 |   |
|                                                                                                                                              |   |   |                                            |   |   |                                      |   |
|                                                                                                                                              |   | $      | 559,538,951                                |   |   | 523,643,387                               |   |
|                                                                                                                                              |   |   |                                       |   |   |                                      |   |
| Liabilities                and Stockholders’ Equity                                                                                         |   |   |                                       |   |   |                                      |   |
|                                                                                                                                              |   |   |                                       |   |   |                                      |   |
| Deposits:                                                                                                                                         |   |   |                                       |   |   |                                      |   |
| Demand                                                                                                                                            |   | $      | 55,955,355                                 |   |   | 48,178,654                                |   |
| Interest                bearing demand                                                                                                            |   |   | 131,656,090                                |   |   | 156,804,968                               |   |
| Savings                                                                                                                                           |   |   | 11,038,501                                 |   |   | 12,160,203                                |   |
| Time                                                                                                                                              |   |   | 119,731,313                                |   |   | 100,065,972                               |   |
| Time,                over $100,000                                                                                                                |   |   | 132,147,539                                |   |   | 111,839,648                               |   |
|                                                                                                                                              |   |   |                                       |   |   |                                      |   |
| Total                deposits                                                                                                                     |   |   | 450,528,798                                |   |   | 429,049,445                               |   |
|                                                                                                                                              |   |   |                                       |   |   |                                      |   |
| Federal                Home Loan Bank advances                                                                                                    |   |   | 52,000,000                                 |   |   | 42,000,000                                |   |
| Accrued                interest payable                                                                                                           |   |   | 2,537,320                                  |   |   | 2,133,858                                 |   |
| Other                liabilities                                                                                                                  |   |   | 3,386,546                                  |   |   | 2,508,051                                 |   |
| Total                liabilities                                                                                                                  |   |   | 508,452,664                                |   |   | 475,691,354                               |   |
|                                                                                                                                              |   |   |                                       |   |   |                                      |   |
| Stockholders’                equity:                                                                                                        |   |   |                                       |   |   |                                      |   |
| Common                stock, $1.25 par value, 10,000,000 shares authorized;5,000,613                  and 4,987,508 shares issued and outstanding |   |   | 6,250,766                                  |   |   | 6,234,385                                 |   |
| Additional                paid-in capital                                                                                                         |   |   | 2,630,056                                  |   |   | 2,803,838                                 |   |
| Retained                earnings                                                                                                                  |   |   | 42,040,841                                 |   |   | 38,787,699                                |   |
| Accumulated                other comprehensive income                                                                                             |   |   | 164,624                                    |   |   | 126,111                                   |   |
|                                                                                                                                              |   |   |                                       |   |   |                                      |   |
| Total                stockholders’ equity                                                                                                   |   |   | 51,086,287                                 |   |   | 47,952,033                                |   |
|                                                                                                                                              |   |   |                                       |   |   |                                      |   |
|                                                                                                                                              |   | $      | 559,538,951                                |   |   | 523,643,387                               |   |

*See      accompanying notes to unaudited consolidated financial      statements.*

----

**WGNB      CORP.**

**Consolidated      Statements of Earnings**

**For      the Three Months Ended September 30, 2006 and 2005**

**(unaudited)**

|                                                               |   | For                the Three Months                Ended  |
|--------------------------------------------------------------------|--------|----------------------------------------------------------------|
|                                                               |   |                                                           | September                30, 2006 |   |   | September                30, 2005 |   |
| Interest                income:                                    |   |                                                           |   |   |   |   |   |
| Interest                and fees on loans                          |   | $                                                              | 9,887,323 |   |   | 7,579,478 |   |
| Interest                on federal funds sold                      |   |                                                           | 125,656 |   |   | 99,054 |   |
| Interest                on investment securities:                  |   |                                                           |   |   |   |   |   |
| U.S.                Government agencies                            |   |                                                           | 225,266 |   |   | 247,373 |   |
| State,                county and municipal                         |   |                                                           | 360,231 |   |   | 390,866 |   |
| Other                                                              |   |                                                           | 314,978 |   |   | 203,751 |   |
|                                                               |   |                                                           |   |   |   |   |   |
| Total                interest income                               |   |                                                           | 10,913,454 |   |   | 8,520,522 |   |
|                                                               |   |                                                           |   |   |   |   |   |
| Interest                expense:                                   |   |                                                           |   |   |   |   |   |
| Interest                on deposits:                               |   |                                                           |   |   |   |   |   |
| Demand                                                             |   |                                                           | 1,208,915 |   |   | 902,226 |   |
| Savings                                                            |   |                                                           | 49,699 |   |   | 22,708 |   |
| Time                                                               |   |                                                           | 2,905,518 |   |   | 1,967,046 |   |
| Interest                on FHLB and other borrowings               |   |                                                           | 725,335 |   |   | 560,784 |   |
|                                                               |   |                                                           |   |   |   |   |   |
| Total                interest expense                              |   |                                                           | 4,889,467 |   |   | 3,452,764 |   |
|                                                               |   |                                                           |   |   |   |   |   |
| Net                interest income                                 |   |                                                           | 6,023,987 |   |   | 5,067,758 |   |
|                                                               |   |                                                           |   |   |   |   |   |
| Provision                for loan losses                           |   |                                                           | 375,000 |   |   | 450,000 |   |
|                                                               |   |                                                           |   |   |   |   |   |
| Net                interest income after provision for loan losses |   |                                                           | 5,648,987 |   |   | 4,617,758 |   |
|                                                               |   |                                                           |   |   |   |   |   |
| Other                income:                                       |   |                                                           |   |   |   |   |   |
| Service                charges on deposit accounts                 |   |                                                           | 1,027,830 |   |   | 1,046,288 |   |
| Mortgage                origination fees                           |   |                                                           | 96,943 |   |   | 118,909 |   |
| Brokerage                fees                                      |   |                                                           | 55,759 |   |   | - |   |
| Gain                on sale of Small Business Administration loans |   |                                                           | 56,098 |   |   | - |   |
| Gain                on sale of securities available for sale       |   |                                                           | - |   |   | 227,863 |   |
| Miscellaneous                                                      |   |                                                           | 381,159 |   |   | 323,539 |   |
|                                                               |   |                                                           |   |   |   |   |   |
| Total                other income                                  |   |                                                           | 1,617,789 |   |   | 1,716,599 |   |
| Other                expenses:                                     |   |                                                           |   |   |   |   |   |
| Salaries                and employee benefits                      |   |                                                           | 2,573,262 |   |   | 2,232,152 |   |
| Occupancy                                                          |   |                                                           | 617,187 |   |   | 532,146 |   |
| Other                operating                                     |   |                                                           | 1,127,534 |   |   | 950,145 |   |
|                                                               |   |                                                           |   |   |   |   |   |
| Total                other expenses                                |   |                                                           | 4,317,983 |   |   | 3,714,443 |   |
|                                                               |   |                                                           |   |   |   |   |   |
| Earnings                before income taxes                        |   |                                                           | 2,948,793 |   |   | 2,619,914 |   |
|                                                               |   |                                                           |   |   |   |   |   |
| Income                taxes                                        |   |                                                           | 852,473 |   |   | 762,704 |   |
|                                                               |   |                                                           |   |   |   |   |   |
| Net                earnings                                        |   | $                                                              | 2,096,320 |   |   | 1,857,210 |   |
|                                                               |   |                                                           |   |   |   |   |   |
| Basic                earnings per share                            |   | $                                                              | 0.42 |   |   | 0.37 |   |
| Diluted                earnings per share                          |   | $                                                              | 0.42 |   |   | 0.37 |   |
| Dividends                declared per share                        |   | $                                                              | 0.183 |   |   | 0.157 |   |

*See      accompanying notes to unaudited consolidated financial      statements.*

----

**WGNB      CORP.**

**Consolidated      Statements of Comprehensive Income**

**For      the Three Months Ended September 30, 2006 and 2005**

**(unaudited)**

|                                                               |   |  For                the Three Months Ended |      |
|--------------------------------------------------------------------|--------|-------------------------------------------------|-----------|
|                                                               |   | September                30, 2006               |      | September                30, 2005 |   |
| Net                earnings                                        |   | $                                               | 2,096,320 |   |   | 1,857,210 |   |
| Other                comprehensive income (loss), net of tax:      |   |                                            |      |   |   |   |   |
| Unrealized                gains (losses) on investment             |   |                                            |      |   |   |   |   |
| securities                available for sale:                      |   |                                            |      |   |   |   |   |
| Unrealized                gains (losses) arising during the period |   |                                            | 763,702   |   |   | (756,065 | ) |
| Associated                benefit (taxes)                          |   |                                            | (259,659  | ) |   | 257,062 |   |
|                                                               |   |                                            |      |   |   |   |   |
| Reclassification                adjustment for gain realized       |   |                                            | -         |   |   | 227,863 |   |
| Associated                taxes                                    |   |                                            | -         |   |   | (77,473 | ) |
|                                                               |   |                                            |      |   |   |  |   |
| Other                comprehensive income (loss)                   |   |                                            | 504,043   |   |   | (348,613 | ) |
|                                                               |   |                                            |      |   |   |   |   |
| Comprehensive                income                                |   | $                                               | 2,600,363 |   |   | 1,508,597 |   |

*See      accompanying notes to unaudited consolidated financial statements.*

----

**WGNB      CORP.**

**Consolidated      Statements of Earnings**

**For      the Nine Months Ended September 30, 2006 and 2005**

**(unaudited)**

|                                                               |   | For                the Nine Months                Ended  |
|--------------------------------------------------------------------|--------|---------------------------------------------------------------|
|                                                               |   |                                                          | September                30, 2006 |   |   | September                30, 2005 |   |
| Interest                income:                                    |   |                                                          |   |   |   |   |   |
| Interest                and fees on loans                          |   | $                                                             | 27,449,479 |   |   | 20,746,481 |   |
| Interest                on federal funds sold                      |   |                                                          | 382,150 |   |   | 188,010 |   |
| Interest                on investment securities:                  |   |                                                          |   |   |   |   |   |
| U.S.                Government agencies                            |   |                                                          | 771,138 |   |   | 759,969 |   |
| State,                county and municipal                         |   |                                                          | 1,090,306 |   |   | 1,219,141 |   |
| Other                                                              |   |                                                          | 911,231 |   |   | 556,721 |   |
|                                                               |   |                                                          |   |   |   |   |   |
| Total                interest income                               |   |                                                          | 30,604,304 |   |   | 23,470,322 |   |
| Interest                expense:                                   |   |                                                          |   |   |   |   |   |
| Interest                on deposits:                               |   |                                                          |   |   |   |   |   |
| Demand                                                             |   |                                                          | 3,619,841 |   |   | 2,140,253 |   |
| Savings                                                            |   |                                                          | 136,864 |   |   | 60,112 |   |
| Time                                                               |   |                                                          | 7,570,381 |   |   | 4,822,753 |   |
| Interest                on FHLB and other borrowings               |   |                                                          | 2,038,018 |   |   | 1,744,734 |   |
|                                                               |   |                                                          |   |   |   |   |   |
| Total                interest expense                              |   |                                                          | 13,365,104 |   |   | 8,767,852 |   |
|                                                               |   |                                                          |   |   |   |   |   |
| Net                interest income                                 |   |                                                          | 17,239,200 |   |   | 14,702,470 |   |
|                                                               |   |                                                          |   |   |   |   |   |
| Provision                for loan losses                           |   |                                                          | 1,090,000 |   |   | 1,250,000 |   |
|                                                               |   |                                                          |   |   |   |   |   |
| Net                interest income after provision for loan losses |   |                                                          | 16,149,200 |   |   | 13,452,470 |   |
|                                                               |   |                                                          |   |   |   |   |   |
| Other                income:                                       |   |                                                          |   |   |   |   |   |
| Service                charges on deposit accounts                 |   |                                                          | 3,041,602 |   |   | 3,022,883 |   |
| Mortgage                origination fees                           |   |                                                          | 277,388 |   |   | 296,669 |   |
| Brokerage                fees                                      |   |                                                          | 55,759 |   |   | - |   |
| Gain                on sale of small business loans                |   |                                                          | 84,223 |   |   | - |   |
| Gain                on sale of securities available for sale       |   |                                                          | - |   |   | 227,863 |   |
| Miscellaneous                                                      |   |                                                          | 1,090,611 |   |   | 982,654 |   |
|                                                               |   |                                                          |   |   |   |   |   |
| Total                other income                                  |   |                                                          | 4,549,583 |   |   | 4,530,069 |   |
|                                                               |   |                                                          |   |   |   |   |   |
| Other                expenses:                                     |   |                                                          |   |   |   |   |   |
| Salaries                and employee benefits                      |   |                                                          | 7,361,059 |   |   | 6,523,992 |   |
| Occupancy                                                          |   |                                                          | 1,783,903 |   |   | 1,612,441 |   |
| Other                operating                                     |   |                                                          | 3,114,102 |   |   | 2,674,869 |   |
|                                                               |   |                                                          |   |   |   |   |   |
| Total                other expenses                                |   |                                                          | 12,259,064 |   |   | 10,811,302 |   |
|                                                               |   |                                                          |   |   |   |   |   |
| Earnings                before income taxes                        |   |                                                          | 8,439,719 |   |   | 7,171,237 |   |
|                                                               |   |                                                          |   |   |   |   |   |
| Income                taxes                                        |   |                                                          | 2,537,106 |   |   | 2,052,851 |   |
|                                                               |   |                                                          |   |   |   |   |   |
| Net                earnings                                        |   | $                                                             | 5,902,613 |   |   | 5,118,386 |   |
|                                                               |   |                                                          |   |   |   |   |   |
| Basic                earnings per share                            |   | $                                                             | 1.18 |   |   | 1.03 |   |
| Diluted                earnings per share                          |   | $                                                             | 1.18 |   |   | 1.02 |   |
| Dividends                declared per share                        |   | $                                                             | 0.530 |   |   | 0.450 |   |

*See      accompanying notes to unaudited consolidated financial      statements.*

----

**WGNB      CORP.**

**Consolidated      Statements of Comprehensive Income**

**For      the Nine Months Ended September 30, 2006 and 2005**

**(unaudited)**

|                                                               |   |  For                the Nine Months Ended |                              |
|--------------------------------------------------------------------|--------|------------------------------------------------|-----------------------------------|
|                                                               |   |                                           | September                30, 2006 |   |   | September                30, 2005 |   |
| Net                earnings                                        |   | $                                              | 5,902,613                         |   | $ | 5,118,386 |   |
| Other                comprehensive income (loss), net of tax:      |   |                                           |                              |   |   |   |   |
| Unrealized                gains (losses) on investment             |   |                                           |                              |   |   |   |   |
| securities                available for sale:                      |   |                                           |                              |   |   |   |   |
| Unrealized                gains (losses) arising during the period |   |                                           | 58,353                            |   |   | (987,373 | ) |
| Associated                benefit (taxes)                          |   |                                           | (19,840                           | ) |   | 335,707 |   |
|                                                               |   |                                           |                              |   |   |   |   |
| Reclassification                adjustment for gain realized       |   |                                           | -                                 |   |   | 227,863 |   |
| Associated                taxes                                    |   |                                           | -                                 |   |   | (77,473 | ) |
|                                                               |   |                                           |                              |   |   |   |   |
| Other                comprehensive income (loss)                   |   |                                           | 38,513                            |   |   | (501,276 | ) |
|                                                               |   |                                           |                              |   |   |   |   |
| Comprehensive                income                                |   | $                                              | 5,941,126                         |   | $ | 4,617,110 |   |

*See      accompanying notes to unaudited consolidated financial      statements.*

----

**WGNB      CORP.**

**Consolidated      Statements of Cash Flows**

**For      the Nine Months Ended September 30, 2006 and 2005**

**(unaudited)**

|                                                                                                                |   |  For                the Nine Months Ended |
|---------------------------------------------------------------------------------------------------------------------|--------|------------------------------------------------|
|                                                                                                                |   |                                           | September                30, 2006 |   |   | September                30, 2005 |   |
| Cash                flows from operating activities:                                                                |   |                                           |   |   |   |   |   |
| Net                earnings                                                                                         |   | $                                              | 5,902,613 |   | $ | 5,118,386 |   |
| Adjustments                to reconcile net earnings to net cash provided                  by operating activities: |   |                                           |   |   |   |   |   |
| Depreciation,                amortization and accretion                                                             |   |                                           | 800,525 |   |   | 813,778 |   |
| Provision                for loan losses                                                                            |   |                                           | 1,090,000 |   |   | 1,250,000 |   |
| Stock-based                employee compensation expense                                                            |   |                                           | 96,000 |   |   | - |   |
| Gain                on sale of securities available for sale                                                        |   |                                           | - |   |   | (227,863 | ) |
| (Gain)                Loss on sale of other real estate                                                             |   |                                           | (10,884 | ) |   | 5,972 |   |
| Loss                on sale of premises and equipment                                                               |   |                                           | 4,327 |   |   | 60,408 |   |
| Change                in:                                                                                           |   |                                           |   |   |   |   |   |
| Other                assets                                                                                         |   |                                           | (2,495,106 | ) |   | (525,430 | ) |
| Other                liabilities                                                                                    |   |                                           | 1,163,693 |   |   | 978,808 |   |
|                                                                                                                |   |                                           |   |   |   |   |   |
| Net                cash provided by operating activities                                                            |   |                                           | 6,551,168 |   |   | 7,474,059 |   |
|                                                                                                                |   |                                           |   |   |   |   |   |
| Cash                flows from investing activities:                                                                |   |                                           |   |   |   |   |   |
| Proceeds                from maturities of securities available for sale                                            |   |                                           | 19,044,591 |   |   | 11,622,443 |   |
| Proceeds                from maturities of securities held to maturity                                              |   |                                           | 262,672 |   |   | - |   |
| Proceeds                for sale of securities available for sale                                                   |   |                                           | - |   |   | 3,789,185 |   |
| Purchases                of securities available for sale                                                           |   |                                           | (8,443,949 | ) |   | (11,362,664 | ) |
| Purchases                of securities held to maturity                                                             |   |                                           | (1,503,750 | ) |   | (2,027,003 | ) |
| Net                change in loans                                                                                  |   |                                           | (25,701,528 | ) |   | (55,585,641 | ) |
| Proceeds                from sale of premises and equipment                                                         |   |                                           | - |   |   | 53,848 |   |
| Purchases                of premises and equipment                                                                  |   |                                           | (834,785 | ) |   | (1,221,114 | ) |
| Proceeds                from sales of other real estate                                                             |   |                                           | 619,177 |   |   | 355,148 |   |
|                                                                                                                |   |                                           |   |   |   |   |   |
| Net                cash used by investing activities                                                                |   |                                           | (16,557,572 | ) |   | (54,375,798 | ) |
|                                                                                                                |   |                                           |   |   |   |   |   |
| Cash                flows from financing activities:                                                                |   |                                           |   |   |   |   |   |
| Net                change in deposits                                                                               |   |                                           | 21,479,353 |   |   | 75,875,371 |   |
| Proceeds                from Federal Home Loan Bank advances                                                        |   |                                           | 10,000,000 |   |   | - |   |
| Repayment                of Federal Home Loan Bank advances                                                         |   |                                           | - |   |   | (3,000,000 | ) |
| Dividends                paid                                                                                       |   |                                           | (2,551,049 | ) |   | (2,146,741 | ) |
| Proceeds                from exercise of stock options                                                              |   |                                           | 49,642 |   |   | - |   |
| Retirement                of common stock                                                                           |   |                                           | (303,043 | ) |   | (26,878 | ) |
|                                                                                                                |   |                                           |   |   |   |   |   |
| Net                cash provided by financing activities                                                            |   |                                           | 28,674,903 |   |   | 70,701,752 |   |
|                                                                                                                |   |                                           |   |   |   |   |   |
| Change                in cash and cash equivalents                                                                  |   |                                           | 18,668,499 |   |   | 23,800,013 |   |
| Cash                and cash equivalents at beginning of period                                                     |   |                                           | 16,221,889 |   |   | 8,056,243 |   |
| Cash                and cash equivalents at end of period                                                           |   | $                                              | 34,890,388 |   | $ | 31,856,256 |   |

*See      accompanying notes to unaudited consolidated financial      statements.*

----

**WGNB      CORP.**

**Consolidated      Statements of Cash Flows, continued**

**For      the Nine Months Ended September 30, 2006 and 2005**

**(unaudited)**

|                                                                                                      |   |  For                the Nine Months Ended |                              |
|-----------------------------------------------------------------------------------------------------------|--------|------------------------------------------------|-----------------------------------|
|                                                                                                      |   |                                           | September                30, 2006 |   |   | September                30, 2005 |   |
| Supplemental                disclosure of cash flow information:                                          |   |                                           |                              |   |   |   |   |
| Cash                paid during the period for:                                                           |   |                                           |                              |   |   |   |   |
| Interest                                                                                                  |   | $                                              | 12,961,642                        |   | $ | 8,389,106 |   |
| Income                taxes                                                                               |   |                                           | 2,230,500                         |   |   | 2,454,000 |   |
|                                                                                                      |   |                                           |                              |   |   |   |   |
| Non-cash                investing and financing activities:                                               |   |                                           |                              |   |   |   |   |
| Transfer                of loans to other real estate                                                     |   |                                           | -                                 |   |   | 135,723 |   |
| Change                  in unrealized gains on securities                  available for sale, net of tax |   |                                           | 38,513                            |   |   | (501,276 | ) |
| Change                in dividends payable                                                                |   |                                           | 98,422                            |   |   | 97,305 |   |
| Satisfaction                  of other liability with issuance of common stock                            |   |                                           | -                                 |   |   | 14,245 |   |

*See      accompanying notes to unaudited consolidated financial      statements.*

----

**WGNB      Corp.**

**Notes      to Consolidated Financial Statements**

**September      30, 2006**

**(unaudited)**

| **(1)** | **Basis                of Presentation** |
|---------|------------------------------------------|

| **(2)** | **Net                Earnings Per Share** |
|---------|-------------------------------------------|

|                                                         |   | For                the quarter ended September 30, 2006 |                        |
|--------------------------------------------------------------|--------|---------------------------------------------------------|-----------------------------|
|                                                         |   |                                                    | Net                Earnings |   |   | Common                Shares |   |   | Earningsper                Share |   |
| Basic                earnings per share                      |   | $                                                       | 2,096,320                   |   |   | 5,000,219 |   | $ | 0.42 |   |
| Effect                of dilutive securities - Stock Options |   |                                                    | -                           |   |   | 56,644 |   |   | (0.01 | ) |
| Diluted                earnings per share                    |   | $                                                       | 2,096,320                   |   |   | 5,056,863 |   | $ | 0.41 |   |

|                                                         |   | For                the quarter ended September 30, 2005 |                        |
|--------------------------------------------------------------|--------|---------------------------------------------------------|-----------------------------|
|                                                         |   |                                                    | Net                Earnings |   |   | Common                Shares |   |   | Earningsper                Share |   |
| Basic                earnings per share                      |   | $                                                       | 1,857,210                   |   |   | 4,987,508 |   | $ | 0.37 |   |
| Effect                of dilutive securities - Stock Options |   |                                                    | -                           |   |   | 27,983 |   |   | (0.00 | ) |
| Diluted                earnings per share                    |   | $                                                       | 1,857,210                   |   |   | 5,015,491 |   | $ | 0.37 |   |

----

**WGNB      Corp.**

**Notes      to Consolidated Financial Statements**

**September      30, 2006**

**(unaudited)**

| **(2)** | **Net                Earnings Per Share -                continued** |
|---------|----------------------------------------------------------------------|

|                                                         |   | For                the nine months ended September 30, 2006 |
|--------------------------------------------------------------|--------|-------------------------------------------------------------|
|                                                         |   |                                                        | Net                Earnings |   |   | Common                Shares |   |   | Earnings                per Share |   |
| Basic                earnings per share                      |   | $                                                           | 5,902,613 |   |   | 4,996,827 |   | $ | 1.18 |   |
| Effect                of dilutive securities - Stock Options |   |                                                        | - |   |   | 60,913 |   |   | (0.01 | ) |
| Diluted                earnings per share                    |   | $                                                           | 5,902,613 |   |   | 5,057,740 |   | $ | 1.17 |   |

|                                                         |   | For                the nine months ended September 30, 2005 |
|--------------------------------------------------------------|--------|-------------------------------------------------------------|
|                                                         |   |                                                        | Net                Earnings |   |   | Common                Shares |   |   | Earningsper                Share |   |
| Basic                earnings per share                      |   | $                                                           | 5,118,386 |   |   | 4,986,687 |   | $ | 1.03 |   |
| Effect                of dilutive securities - Stock Options |   |                                                        | - |   |   | 27,983 |   |   | (0.01 | ) |
| Diluted                earnings per share                    |   | $                                                           | 5,118,386 |   |   | 5,014,670 |   | $ | 1.02 |   |

| **(3)** | **Stock                Compensation Plans** |
|---------|---------------------------------------------|

|                                                                                                                                      |   |   | Three                Months |   |   | Nine                Months |   |
|-------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|-----------------------------|--------|--------|----------------------------|--------|
|                                                                                                                                      |   |   | 2005                        |   |   | 2005                       |   |
| Net                earnings (as reported)                                                                                                 |   | $      | 1,857,210                   |   |   | 5,118,386                  |   |
| Stock-based                employee compensation expense determined underthe                fair-value-method, net of related tax effects |   |   | (39,027                     | )      |   | (117,081                   | )      |
| Pro                forma net earnings                                                                                                     |   | $      | 1,818,183                   |   |   | 5,001,305                  |   |
| As                reported:                                                                                                               |   |   |                        |   |   |                       |   |
| Earnings                per common share                                                                                                  |   | $      | 0.37                        |   |   | 1.03                       |   |
| Diluted                earnings per common share                                                                                          |   | $      | 0.37                        |   |   | 1.02                       |   |
| Pro                forma:                                                                                                                 |   |   |                        |   |   |                       |   |
| Earnings                per common share                                                                                                  |   | $      | 0.36                        |   |   | 1.00                       |   |
| Diluted                earnings per common share                                                                                          |   | $      | 0.36                        |   |   | 1.00                       |   |

----

**WGNB      Corp.**

**Notes      to Consolidated Financial Statements**

**September      30, 2006**

**(unaudited)**

| **(3)** | **Stock                Compensation Plans -                continued** |
|---------|------------------------------------------------------------------------|

|                                   |   |   | 2006                    |   |   | 2005                    |   |
|----------------------------------------|--------|--------|-------------------------|--------|--------|-------------------------|--------|
| Dividend                yield          |   |   | 2.85                    | %      |   | 2.84                    | %      |
| Expected                volatility     |   |   | 13                      | %      |   | 13                      | %      |
| Risk-free                interest rate |   |   | 4.54                    | %      |   | 4.09                    | %      |
| Expected                term           |   |   | 10                years |   |   | 10                years |   |

| **(4)** | **Commitments                and Contingencies** |
|---------|--------------------------------------------------|

**Derivative      Instruments and Hedging Activities**

| Notional                Amount |   | Maturity                Date |    | Receive                Fixed                Rate |   | Pay                Floating 1 Month LIBOR +/(-)                bp |   |
|--------------------------------|--------|------------------------------|---------|--------------------------------------------------|--------|-------------------------------------------------------------------|--------|
| $                4,056,033     |   |                         | 1/31/08 |                                             |   | 3.75%                                                             |   |   | (137.65) |   |
| 3,000,000                      |   |                         | 4/27/08 |                                             |   | 4.15%                                                             |   |   | (94.65) |   |
| 1,710,000                      |   |                         | 6/30/08 |                                             |   | 4.00%                                                             |   |   | (105.65) |   |
| 2,945,000                      |   |                         | 6/30/08 |                                             |   | 4.10%                                                             |   |   | (96.65) |   |
| 5,761,000                      |   |                         | 6/30/08 |                                             |   | 5.44%                                                             |   |   | 35.35 |   |
| 1,500,000                      |   |                         | 2/2/09  |                                             |   | 3.90%                                                             |   |   | (110.65) |   |
| 1,602,992                      |   |                         | 6/17/09 |                                             |   | 4.10%                                                             |   |   | (89.65) |   |
| 2,942,847                      |   |                         | 6/30/09 |                                             |   | 4.20%                                                             |   |   | (79.65) |   |
| 2,000,000                      |   |                         | 6/30/09 |                                             |   | 4.25%                                                             |   |   | (74.65) |   |
| 2,357,702                      |   |                         | 8/5/09  |                                             |   | 4.36%                                                             |   |   | (64.65) |   |
| 3,550,000                      |   |                         | 2/1/10  |                                             |   | 4.00%                                                             |   |   | (98.65) |   |
| 2,986,006                      |   |                         | 4/27/10 |                                             |   | 4.50%                                                             |   |   | (49.65) |   |
| 2,002,985                      |   |                         | 6/17/10 |                                             |   | 4.25%                                                             |   |   | (73.65) |   |
| 1,984,944                      |   |                         | 6/30/10 |                                             |   | 4.45%                                                             |   |   | (59.650 |   |
| 2,757,000                      |   |                         | 8/5/10  |                                             |   | 4.50%                                                             |   |   | (49.65) |   |
| $                41,156,509    |   |                         |    |                                             |   |                                                              |   |   |   |   |

----

**WGNB      Corp.**

**Notes      to Consolidated Financial Statements**

**September      30, 2006**

**(unaudited)**

**Derivative      Instruments and Hedging Activities - continued**

| **(5)** | **Contingent                Liabilities** |
|---------|-------------------------------------------|

| **(6)** | **Recent                Accounting Pronouncements** |
|---------|-----------------------------------------------------|

**Accounting      for Uncertainty in Income Taxes **

----

| **Item              2.** | **Management’s                Discussion and Analysis of Financial Condition and Results of                Operations** |
|--------------------------|-------------------------------------------------------------------------------------------------------------------------------|

**Cautionary      Notice Regarding Forward-Looking Statements**

**Critical      Accounting Policies**

----

**Results      of Operations**

*Overview*

*Net      Interest Income*

----

*Non-Interest      Income *

----

*Non-Interest      Expense*

----

*Income      Taxes*

*Provision      and Allowance for Loan Losses*

----

**Allowance      for Loan Loss**

|                                                                                                                     |   | ** ****For                the Nine Months Ended September 30,** |       |
|--------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------|------------|
|                                                                                                                     |   |                                                                 | **2006**   |   |   | **2005** |   |
| Balance                at beginning of period                                                                            |   | $                                                                    | 5,327,406  |   | $ | 4,080,148 |   |
| Charge-offs:                                                                                                             |   |                                                                 |       |   |   |   |   |
| Commercial,                financial and agricultural                                                                    |   |                                                                 | 47,414     |   |   | 19,978 |   |
| Real                estate - construction                                                                                |   |                                                                 | -          |   |   | - |   |
| Real                estate - mortgage                                                                                    |   |                                                                 | 909,758    |   |   | 433,500 |   |
| Consumer                loans                                                                                            |   |                                                                 | 111,978    |   |   | 80,391 |   |
| Total                charge-offs                                                                                         |   |                                                                 | 1,069,150  |   |   | 533,869 |   |
| Recoveries:                                                                                                              |   |                                                                 |       |   |   |   |   |
| Commercial,                financial and agricultural                                                                    |   |                                                                 | 8,959      |   |   | 15,006 |   |
| Real                estate - construction                                                                                |   |                                                                 | -          |   |   | - |   |
| Real                estate - mortgage                                                                                    |   |                                                                 | -          |   |   | 18,326 |   |
| Consumer                loans                                                                                            |   |                                                                 | 49,283     |   |   | 30,833 |   |
| Total                recoveries                                                                                          |   |                                                                 | 58,242     |   |   | 64,165 |   |
| Net                charge-offs                                                                                           |   |                                                                 | (1,010,908 | ) |   | (469,704 | ) |
| Provision                for loan losses                                                                                 |   |                                                                 | 1,090,000  |   |   | 1,250,000 |   |
|                                                                                                                     |   |                                                                 |       |   |   |   |   |
| Balance                at end of period                                                                                  |   | $                                                                    | 5,406,498  |   | $ | 4,860,444 |   |
|                                                                                                                     |   |                                                                 |       |   |   |   |   |
| Ratio                  of net (charge-offs) recoveries during the period                    to average loans outstanding |   |                                                                 | (.23       | )% |   | (.01 | )% |
|                                                                                                                     |   |                                                                 |       |   |   |   |   |
| Ratio                of allowance to total loans                                                                         |   |                                                                 | 1.20       | % |   | 1.18 | % |

*Non-Performing      Assets and Past Due Loans*
*** ***

**Financial      Condition**

*Overview*

*Assets      and Funding*

----

| **Loan**                                              |   |   | **At                September 30, 2006** |   |   | **At                December 31, 2005** |   |
|-------------------------------------------------------|--------|--------|------------------------------------------|--------|--------|-----------------------------------------|--------|
| Commercial,                financial and agricultural |   | $      | 50,673,396                               |   | $      | 51,555,201                              |   |
| Real                Estate - mortgage                 |   |   | 216,222,632                              |   |   | 196,382,365                             |   |
| Real                Estate - construction             |   |   | 155,200,533                              |   |   | 153,511,262                             |   |
| Consumer                                              |   |   | 26,310,907                               |   |   | 22,271,301                              |   |
| **Total**                                             |   | **$**  | **448,407,468**                          |   | **$**  | **423,720,129**                         |   |
|                                                  |   |   |                                     |   |   |                                    |   |
| Unearned                loan fees                     |   |   | (837,828                                 | )      |   | (841,109                                | )      |
| Allowance                for loan losses              |   |   | (5,406,498                               | )      |   | (5,327,406                              | )      |
| **Net                Loans**                          |   | **$**  | **442,163,142**                          |   | **$**  | **417,551,614**                         |   |

*Liquidity      and Capital Resources*

----

|                                                     |   | **September                30, 2006** |   |
|----------------------------------------------------------|--------|---------------------------------------|--------|
|                                                     |   | **Actual**                            |   |   |   | **Required** |   |   |   | **Excess** |   |   |   |
|                                                     |   | **Amount**                            |   | **%** |   | **Amount** |   | **%** |   | **Amount** |   | **%** |   |
|                                                     |   |                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                capital (to risk- weighted assets)  |   | $                                     | 56,328 |   |   | 12.01 | % | $ | 37,513 |   |   | 8.00 | % | $ | 18,815 |   |   | 4.01 | % |
|                                                     |   |                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Tier                1 capital (to risk- weighted assets) |   |                                  | 50,922 |   |   | 10.86 | % |   | 18,756 |   |   | 4.00 | % |   | 32,166 |   |   | 6.86 | % |
|                                                     |   |                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Tier                1 capital (to average assets)        |   |                                  | 50,922 |   |   | 9.24 | % |   | 22,040 |   |   | 4.00 | % |   | 28,882 |   |   | 5.24 | % |

*Off      Balance Sheet Risks*

| **Item              3.** | **Quantitative                and Qualitative Disclosures About Market Risk** |
|--------------------------|-------------------------------------------------------------------------------|

| **Item              4.** | **Controls                and Procedures** |
|--------------------------|--------------------------------------------|

----

**Part      II - Other Information**

| **Item              1.** | **Legal                Proceedings** |
|--------------------------|--------------------------------------|

| **Item              1A.** | **Risk                Factors** |
|---------------------------|---------------------------------|

| **Item              2.** | **Unregistered                Sales of Equity Securities and Use of                Proceeds** |
|--------------------------|-----------------------------------------------------------------------------------------------|

|  | (a) | Not                applicable. |
|--|-----|--------------------------------|

|  | (b) | Not                applicable. |
|--|-----|--------------------------------|

|  | (c) | Not                applicable. |
|--|-----|--------------------------------|

| **Item              3.** | **Defaults                Upon Senior Securities** |
|--------------------------|----------------------------------------------------|

| **Item              4.** | **Submission                of Matters to a Vote of Security                Holders** |
|--------------------------|---------------------------------------------------------------------------------------|

| **Item              5.** | **Other                Information** |
|--------------------------|--------------------------------------|

| **Item              6.** | **Exhibits** |
|--------------------------|--------------|

|   | 3.1 | Amended                and Restated Articles of Incorporation (Incorporated by reference                to                Exhibit 3.1 to the Company’s Registration Statement on Form 10-SB filed                June 14, 2000 (the "Form 10-SB"). |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | 3.2 | Amended                and Restated Bylaws (Incorporated by reference to Exhibit 3.2 to                the Form                10-SB). |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------|

|   | 4.1 | See                exhibits 3.1 and 3.2 for provisions of Company’s Articles of Incorporation                and Bylaws defining the rights of                shareholders. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 4.2 | Specimen                certificate representing shares of Common Stock (Incorporated by                reference                to Exhibit 4.2 to the Form 10-SB). |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 4.3 | Rights                Agreement dated as of February 12, 1997 between the Company and SunTrust                Bank, Atlanta (Incorporated by reference to Exhibit 4.3 to the Form                10-SB). |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | 31.1 | Certification                of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley                Act of 2002 |
|--|------|----------------------------------------------------------------------------------------------------------------------------------|

|  | 31.2 | Certification                of Chief Financial Officer pursuant to Section 302 of the Sarbanes                Oxley                Act of 2002 |
|--|------|-------------------------------------------------------------------------------------------------------------------------------------------------|

|  | 32.1 | Certification                of Chief Executive Officer pursuant to Section 906 of the Sarbanes-Oxley                Act of 2002 |
|--|------|----------------------------------------------------------------------------------------------------------------------------------|

|  | 32.2 | Certification                of Chief Financial Officer pursuant to Section 906 of the Sarbanes                Oxley                Act of 2002 |
|--|------|-------------------------------------------------------------------------------------------------------------------------------------------------|

----

**SIGNATURES**

|                                      |                                   |                                                 |
|-------------------------------------------|----------------------------------------|------------------------------------------------------|
|                                      | **WGNB              CORP.**            |
|                                 |                              |                                            |
| Date: November              14, 2006 | By:                          | /s/ H.              B.              Lipham, III |
|                                      | H.              B. Lipham, III         |
|                                      | Interim              President and CEO |

|         |                                                |                                               |
|--------------|-----------------------------------------------------|----------------------------------------------------|
|    |                                           |                                          |
|         | By:                                       | /s/ Steven              J.              Haack |
|         | Steven              J. Haack                        |
|         | TreasurerPrincipal                Financial Officer |

----